Micron Technology CEO Sanjay Mehrotra sold nearly $38 million worth of shares through a pre-arranged trading plan, SEC filings show. The transaction comes as the stock has surged 84% in the past month and 250% year-to-date on AI memory demand optimism. Mehrotra still holds more than 994,000 shares after the sale.
Micron Technology CEO Sanjay Mehrotra sold nearly $38 million of stock through a pre-arranged trading plan, according to SEC filings.
The transactions were executed under a Rule 10b5-1 trading plan established before the stock's recent rally, the Form 4 filings show, removing concerns about opportunistic timing.
Mehrotra sold about 40,000 shares at an average price near $950, according to the filings. He still owns 387,064 shares directly and 607,075 shares through compensation awards. The sales occurred as Micron shares surged 84% in the past month and 250% year-to-date, pushing the company's market value past $1 trillion.
The stock has rallied on optimism around an AI-driven memory and storage supercycle, with 17 analysts issuing buy ratings and none recommending sell. Micron reports quarterly earnings on June 24, which will test whether the AI demand narrative can sustain the valuation.
The insider selling extends beyond the CEO. In the past six months, Micron insiders have executed 122 sales and just three purchases, according to Quiver Quantitative data. Chief Business Officer Sumit Sadana sold 49,000 shares worth about $20.9 million, while Chief People Officer April Arnzen sold 55,000 shares worth $18.1 million.
Wall Street remains bullish on the stock despite the insider activity. Analysts at Morgan Stanley, Raymond James and Susquehanna have all raised price targets in recent weeks, with targets ranging from $1,050 to $1,750. The median analyst target stands at $550, according to data compiled by Quiver Quantitative.
Institutional investors have shown mixed positioning. In the first quarter, 1,713 funds added Micron shares while 1,200 reduced positions. Capital World Investors cut its stake by 27.8%, while Norges Bank increased its holding by 40.3% in the fourth quarter.
The pre-planned nature of the sales suggests the insider activity reflects routine portfolio diversification rather than a bearish signal. Investors will watch the June 24 earnings report for guidance on AI memory demand and margin trends.
This article is for informational purposes only and does not constitute investment advice.
